Barclays expects PetroChina Co Ltd to be the world’s largest E&P spender this year, overtaking Exxon Mobil Corp for the first time since the 1980s. This finding was part of The Global 2013 E&P Spending Update from the bank
The report said, oil and gas companies will spend a record $678 billion on exploration and production (E&P) in 2013, 10 per cent more than last year.
Higher spending in the Middle East, as well as solid E&P budgets in India, Australia and the rest of Asia, would more than offset slowing growth in Latin America, Barclays said in an analyst conference call, said Reuters.
Growth in the Middle East is driven mainly by higher spending forecasts for Saudi Aramco, the world’s biggest oil exporter, and increased drilling in Iraq, according to the report.
The relatively slow pace of recovery in the U.S. land market was causing continued challenges for smaller companies, while industry leaders such as Schlumberger Ltd (SLB.N), Halliburton Co (HAL.N) and Baker Hughes Inc (BHI.N) are expected to benefit from the demand for premium technology and equipment, Barclays said.
Higher budgets from the Chinese majors is driving the growth in the Asia Pacific region, Barclays said.
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